Employers
Remote employees in other states
Where an employee lives and works can create duties in that state. Review them before a hire or move.
U.S. Department of Labor guidance confirms that remote work hours are still work time. Employers should keep a reasonable way for remote employees to report all hours accurately.
When someone works from another state, review that state's withholding, unemployment insurance, workers' compensation, wage-and-hour, paid-leave and business-registration rules before the hire or move. Not every state imposes every duty, but each one needs to be checked.
Forming your company in Nevada does not exempt you from another state's employment rules for people working there.
Checklist
- Record each employee's work and residence state
- Review withholding and UI registration in that state
- Confirm workers' compensation covers remote work
- Check wage, leave and registration rules
- Set up an accurate remote time-reporting method
Common misconceptions
- Myth: A Nevada LLC only follows Nevada rules.
- Reality: Employees working in other states can trigger that state's requirements.
